Second-hand housing prices surge
4/9/2003 14:35
Prices of Shanghai's second-hand housing have surged following the city's
announcement of a new housing policy to aid homebuyers of lower income,
according to local real estate dealers.
Demand of the low-priced projects,
which sold under 3,500 yuan (US$423) a square two months ago, has seen a jump,
while prices have soared by 500 to 1,000 yuan a square meter.
Housing
intermediary firms described the price surge as a result of the city's new
policy to provide mortgage loan interest discounts for buyers of apartments
which are smaller than 90 square meters with per-square-meter price under 3,500
yuan.
These apartments are considered as low-end projects in Shanghai, where
the average housing prices of new homes stay above 4,000 yuan per square
meter.
Vying to take advantage of the interest discounts, many investors are
rushing to suburban areas within the Outer Ring Road for such cheaper projects
and prices of homes in suburban areas such as Xinzhuang, Chuansha and Zhangjiang
have shot up to around 4,000 yuan a square meter from 3,000 yuan in the past
quarter.
A 76-square-meter used apartment in northern city's Baoshan
District, for example, is carrying a price tag of 280,000 yuan, compared with
210,000 yuan three months ago.
Jane Chen / Shanghai Daily news
|
